Global media tablet sales decline by 28 percent

 

Worldwide
media tablet shipments into sales channels fell by 28 percent on a sequential
basis in the first calendar quarter of 2011 (1Q11) to 7.2 million units
worldwide, according to IDC.

 

Looking
forward, however, IDC raised its
shipment forecast for 2011 to 53.5 million units from a previous projection of
50.4 million units.

 

For
1Q11, the seasonal trends typically found in more mature consumer electronics
and computing categories had a notable impact on the burgeoning media tablet
market, suggesting that demand for the category may not be quite as strong as
recent media hype suggests.

 

The
eReader market experienced similar seasonality, undergoing a sequential decline
in shipments to 3.3 million units as the post-holiday season proved to be
challenging for that category. However, eReaders enjoyed 105 percent
year-over-year growth as the devices continue to grow in overall popularity,
particularly with the introduction of color devices, such as Barnes &
Noble’s Color Nook.

 

Apple’s
iPad and the recently introduced iPad 2
continue to dominate the media tablet market, as other vendors have had a more
difficult time finding market acceptance for their products. But even Apple’s
shipments for the quarter were well below expectations. Some supply-chain
hiccups on screens as well as the pre-release announcement of the iPad 2
several weeks before its actual availability combined to have a noticeable
impact on the company’s shipments for the quarter.

 

Mobile
phone vendors, such as Samsung
and Motorola, who have focused their distribution through the telco carriers,
found moderate success with their media tablets, but sales were largely stymied
by many consumers’ unwillingness to sign up for the 3G/4G data plans that the
carriers typically require along with these devices. As an operating system,
Android-based devices grew to 34 percent of the total, a share increase of 8.2
points over the previous quarter.

 

For
eBooks, Barnes & Noble’s Color Nook helped the company to take the lead in
the eReader market for the first time. Amazon’s Kindle was second, but the lack
of a color offering has clearly impacted the company’s previous dominance in
the eReader market. IDC forecasts the worldwide eReader market to ship 16.2
million units in 2011, a 24 percent increase over 2010.

 

Like
the PC market, Media Tablets had a bit of a challenging quarter in Q1, as
concerns about general macroeconomic issues and the post-holiday letdown took a
toll on demand,” said Bob O’Donnell, vice president, Clients and Displays,
IDC.

 

By
TelecomLead.com Team
[email protected]